From 2025, investors "holding" apartments will be very risky; Hanoi reclaims prime land at 275 Nguyen Trai

Interest rates for young people borrowing to buy their first home should only be 6-7% per year; Hanoi is looking for investors for the Pearl Theater and park project worth 12.7 trillion VND; Hanoi is allocating land for the construction of social housing in Dong Anh district.

From 2025, investors holding onto apartments will face significant risks; Hanoi will reclaim the prime land at 275 Nguyen Trai Street.

Interest rates for young people borrowing to buy their first home should only be 6-7% per year; Hanoi is looking for investors for the Pearl Theater and park project worth 12.7 trillion VND; Hanoi is allocating land for the construction of social housing in Dong Anh district.

Here are some of the real estate highlights of the week.

From 2025 onwards, investors currently holding apartments will face significant risks.

According to Mr. Nguyen Quoc Hung, Vice Chairman and General Secretary of the Vietnam Banking Association, many people are currently buying real estate for speculative purposes. Therefore, even with high house prices, many people still rush to buy, expecting prices to continue rising, and then sell for profit. This expectation drives up house prices. However, this poses a significant risk for the future, not only for people with genuine housing needs but also for investors and businesses.

Many apartment buildings, even those handed over more than 10 years ago, still have prices comparable to new projects. Photo: Thanh Vu

Mr. Hung warned that people who are "hoarding" apartments with the expectation that prices will only increase and not decrease will face significant risks, starting from 2025. Because in the coming time, when the Government implements the 1 million social housing project, the real estate market will return to its true nature.

"Banks keep lending, investors keep buying houses, later buyers pay a higher price than earlier buyers, and the last buyers will bear the brunt of the consequences," Mr. Hung warned.

According to the leaders of the Banking Association, the government has set targets and implemented various measures to accelerate progress, and the goal of 1 million apartments is certainly achievable. Currently, the banking sector is also ready to allocate significant resources and offer preferential loan packages with low interest rates to implement this project.

Interest rates for young people borrowing to buy their first home should only be 6-7% per year.

In its report prepared for the upcoming conference on promoting social housing and a healthy, sustainable real estate market, the Ho Chi Minh City Real Estate Association (HoREA) proposed several solutions to encourage the development of affordable commercial housing.

Interest rates for social housing loans need to be more attractive. Photo: Thanh Vu

In this context, HoREA proposed that the State Bank of Vietnam (SBV) consider developing a mechanism for young people (aged 18-45) to purchase their first home and obtain credit at a reasonable commercial interest rate (around 6-7% per year, secured by the house itself) for a period of 10-15 years.

This will create a "boost," encouraging businesses to restructure existing real estate projects, shift investment towards affordable commercial housing segments, and, together with the "Program to develop at least 1 million social housing units in the period 2021-2030," will restructure the real estate market in a safe, healthy, and sustainable manner.

"Most young people are ambitious and have a long life ahead of them to work and repay their debts. Typically, after about 10-15 years, their income will double or more than double, so there is almost no risk for commercial banks lending to them," the association assessed.

Hanoi seeks investors for the 12.7 trillion VND Pearl Theater and Park project.

Recently, the Tay Ho District Investment and Construction Project Management Board (Hanoi) issued a notice inviting interest in the construction project of the Pearl Theater and a themed cultural and artistic park with a total investment of 12,756 billion VND. The project aims to build a large-scale opera house and a multi-functional cultural complex serving cultural, artistic, and entertainment activities.

Overall perspective of the detailed planning project for the central spatial axis area of ​​the Quang An peninsula. Photo: Tay Ho District People's Committee.

The project covers a total area of ​​over 19.1 hectares. This includes the Pearl Theater and thematic cultural and arts park, which occupy over 18.2 hectares, a parking lot of 0.4 hectares, and roads of over 0.5 hectares. The project is located in Quang An ward, Tay Ho district.

The land area comprises planned plots designated CXĐT.08, CXĐT.09, and P2, which are part of the detailed planning project for the central spatial axis of the Quang An peninsula, at a scale of 1/500, approved by the Hanoi People's Committee in November 2024.

Regarding the project's location and boundaries, it is bordered to the east and southeast by Dang Thai Mai Street; to the west and southwest by West Lake; to the northwest by an existing residential area; and to the north by a planned road connecting Dang Thai Mai Street with Quang Ba.

The overall project timeline is expected to span from Q1 to Q3 2029. This includes a preparation phase from Q1 to Q3 2025, an implementation phase from Q4 2025 to Q1 2029, and a construction completion phase from Q2 2029 to Q3 2029.

Thanh Oai District is holding an auction for land in an area where prices had previously been inflated to 100 million VND/m2.

The Vietnam Auction Partnership Company has just announced the auction of land use rights for 54 plots of land in Ngo Ba area, Thanh Than village, Thanh Cao commune, Thanh Oai district (Hanoi).

Accordingly, the 54 plots of land were divided into three groups according to their starting prices. The first group consists of 6 plots with a starting price of 16.3 million VND/m2. The second group consists of 24 plots with a starting price of 15.6 million VND/m2. The third group consists of 24 plots with a starting price of 10.9 million VND/m2.

Image of a plot of land that was auctioned for 100.5 million VND/m2 in Thanh Cao commune, Thanh Oai district. Photo: Tam Phuc Real Estate.

With areas ranging from 60 to 85 square meters, the land plots offered for sale will have starting prices ranging from 656 million to 1.3 billion VND. The corresponding deposit amount will be approximately 130 to 265 million VND per plot.

Notably, instead of multiple rounds of bidding like previous auctions, this one will be held in a single round of direct, secret ballot voting. The auction is scheduled to take place on March 1st at the Thanh Oai District Gymnasium.

Previously, on August 10, 2024, also in Ngo Ba area, Thanh Than village, Thanh Cao commune, Thanh Oai district, an auction was held for 68 land plots. The plots ranged in size from 60 to 85 m2, with starting prices ranging from 8.6 to 12.5 million VND/m2.

What caused a stir in public opinion was the winning bid price for the land plots. The corner plot here had the highest winning bid price, reaching 100.5 million VND/m2, eight times higher than the starting price. Other plots had equally high winning bid prices, ranging from 63 to 80 million VND/m2, 5 to 6.4 times higher than the starting price. These are unprecedented figures for the land market in Thanh Oai district.

However, when the payment deadline arrived, only 13 out of 68 land plots had their deposits paid in full. The plot with a winning bid of 100.5 million VND/m2, along with many other high-value plots, were abandoned by bidders. Subsequent auctions in Thanh Oai district consistently recorded lower winning bids and a decrease in the number of participants.

Hanoi allocates land for social housing construction in Dong Anh district.

The Hanoi People's Committee has issued Decision No. 699/QD-UBND assigning 24,000.6 m2 of land (phase 2), with completed land clearance, at plot CT3 in the Kim Chung New Urban Area, Kim Chung commune, Dong Anh district, to the joint venture of Hanoi Housing Investment and Development Corporation and Viglacera Corporation - JSC to implement a social housing project.

Of this, 2,701.6 m2 is used for transportation infrastructure projects; and 21,299 m2 is used for urban residential purposes.

The form of land allocation is the State allocating land with payment of land use fees. Land use term: For the investor, the land can be used from the date of signing the land allocation decision until November 10, 2061; for apartment owners: Stable and long-term use.

The joint venture between Hanoi Housing Investment and Development Corporation and Viglacera Corporation - JSC is responsible for the comprehensive construction of technical infrastructure, maintenance and upkeep of the works after construction, and handover to the local government for management and common use in the city as prescribed. The form of land allocation is the State allocating land without collecting land use fees.

The method of land allocation is to allocate land without auctioning the land use rights or bidding to select investors to implement projects that utilize the land.

Hanoi reclaims over 4,000 square meters of land in the high-end ecological urban area of ​​Dan Phuong.

The Hanoi People's Committee has issued a decision to reclaim 4,070 m2 of land at plot CCĐT within the Dan Phuong high-end ecological urban area project in Dan Phuong district, currently managed by the Hanoi Land Fund Development Center.

The reason for the recall is based on the mechanism, management plan, handover, and exploitation of the product as stipulated in Clause 13, Article 1 of Decision No. 954/QD-UBND dated March 4, 2020, of the Hanoi People's Committee, and the policy approved by the Hanoi People's Committee in Document No. 15871/VP-TNMT dated December 25, 2024, from the Office of the Hanoi People's Committee.

According to the introduction, the high-end ecological urban area project in Dan Phuong (commercial name The Phoenix Garden) was started in 2009. The project is located in Phung town, Dan Phuong district.

Previously, in November 2024, the Hanoi People's Committee issued a decision to adjust the name of the land user at the nearly 45-hectare Dan Phuong high-end ecological urban area project, from DIA Investment and Development Co., Ltd. - Ha Tay to DIA Investment Joint Stock Company.

At the same time, adjustments were made to the allocation of nearly 45 hectares of land in Dan Phuong commune, Dan Phuong district, to DIA Investment Joint Stock Company for the implementation of the Dan Phuong high-end ecological urban area construction project.

According to the approved plan for housing development in Hanoi for the period 2021-2025, the project has a total investment of VND 1,974 billion and a scale of nearly 45 hectares. The approved schedule is from Q4/2018 to Q4/2024. The number of units includes 626 low-rise houses.

Hanoi reclaims prime land at 275 Nguyen Trai Street.

Recently, the Hanoi People's Committee issued a decision to revoke 3,557 m2 of land (plot N02) from Hung Viet Trading Joint Stock Company, which is part of the 20% land allocation of the Golden Land Building commercial, service, and residential project.

The Golden Land Building project boasts a prime location right on Nguyen Trai Street and is only a 5-minute walk from the Ring Road 3 station. Photo: Thanh Vu

The project is located at 275 Nguyen Trai Street, Thanh Xuan District. Previously, this plot of land was approved by the Hanoi City government for the construction of housing for officials and employees of the Department of Natural Resources and Environment.

The Hanoi People's Committee stated that the decision to revoke the land use rights was made in accordance with the conclusions of the Government Inspectorate regarding the conversion of land use from production and business land to land for business and housing construction during the period 2011-2019 by state-owned enterprises and privatized enterprises.

The Hanoi People's Committee will assign the reclaimed land area to the Hanoi Land Fund Development Center for management and propose exploitation plans in accordance with regulations.

Previously, in October 2024, the Government Inspectorate announced the conclusions of its inspection of projects showing signs of violating the law, including the land plot at 275 Nguyen Trai Street.

Da Nang proposes a mechanism to support the implementation of social housing investment projects.

The People's Committee of Da Nang City has submitted a proposal to the City People's Council regarding a Resolution stipulating the mechanism for supporting the implementation of social housing construction investment projects in the city.

Specifically, the Da Nang City People's Committee proposed a support policy that prioritizes the allocation of land under the city's management, in accordance with district-level land use planning or construction planning, urban planning, and the city's housing development program and plan, to facilitate the procedures for attracting investment in social housing.

The Da Nang City People's Committee believes that, in practical terms, one of the crucial steps determining the progress of social housing projects is accessing land. Accessing land that has been cleared and has complete surrounding infrastructure will shorten the implementation time of social housing projects by 1 to 3 years.

"Besides land allocated for social housing within commercial housing projects, it is necessary to issue policies prioritizing land managed by the city, especially large plots in certain areas near the city center and resettlement areas funded by public investment, to attract investment in social housing," the Da Nang City People's Committee stated.

Source: https://baodautu.vn/batdongsan/tu-nam-2025-nha-dau-tu-om-chung-cu-se-rat-rui-ro-ha-noi-thu-hoi-khu-dat-vang-tai-so-275-nguyen-trai-d246675.html